Opposite to standard opinion, BitMEX founder Arthur Hayes thinks the upcoming Bitcoin (BTC) will briefly dampen the crypto market’s momentum.
In a brand new analysis, Hayes argues that the macro setup is definitely favorable for merchants thinking about shorting the crypto market.
Nevertheless, he notes that he doesn’t plan to brief the market himself, simply abstaining from buying and selling till subsequent month.
“The Bitcoin block reward is forecast to halve on April twentieth. That is seen as a bullish catalyst for crypto markets. I agree that it’ll pump costs within the medium time period; nonetheless, the worth motion straight earlier than and after could possibly be destructive.
The narrative of the halving being optimistic for crypto costs is nicely entrenched. When most market members agree on a sure final result, the other normally happens. That’s the reason I imagine Bitcoin and crypto costs usually will droop across the halving.
Provided that the halving happens at a time when greenback liquidity is tighter than normal, it’s going to add propellant to a raging firesale of crypto property. The timing of the halving provides additional weight to my determination to abstain from buying and selling till Might.”
Hayes says he took revenue in Solana (SOL) and the Solana-based memecoin “cat in a canine’s world” (MEW).
Explains the crypto veteran,
“The proceeds had been positioned into Ethena’s USDe and staked to earn that phat yield. Earlier than Ethena, I might have held USDT or USDC and earned nothing whereas Tether and Circle captured your complete T-bill yield.
Might the market defy my bearish inclinations and proceed increased? Fuck yeah. I’m perennially lengthy as fuck crypto, so I welcome being improper.”
Ethena (ENA) is an artificial greenback protocol that goals to offer a crypto-native resolution for cash not reliant on conventional banking system infrastructure through a stablecoin referred to as USDe. Hayes is an investor within the challenge.
Do not Miss a Beat – Subscribe to get electronic mail alerts delivered on to your inbox
Examine Worth Motion
Observe us on Twitter, Facebook and Telegram
Surf The Every day Hodl Combine
Generated Picture: DALLE3